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Social, Ethical, and Economic Aspects of Advertising. Creates needs and wants among consumers. Provides information. Promotes materialism, insecurity and greed. Creates jobs and helps new firms enter a market. Promotes competition in the marketplace. Promotes competition in

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Presentation Transcript
advertising two viewpoints

Creates needs and

wants among consumers

Provides

information

Promotes materialism,

insecurity and greed

Creates jobs and

helps new firms enter a market

Promotes

competition in

the marketplace

Promotes

competition in

the marketplace

Advertising: Two Viewpoints

Proponents argue that advertising and promotion:

Encourages

a higher standard

of living

Creates jobs and

helps new firms enter a market

Provides

information

Encourages

a higher standard

of living

Critics argue that advertising and promotion

Creates unnecessary and unrealistic needs and

wants among consumers

Is more corporate propaganda

than information

Is more propaganda

than information

ethics in advertising and promotion
Ethics in Advertising and Promotion

Ethics: Moral principles and values that govern the actions of an individual or group.

Not all issues can be regulated

Advertising may be legal but not ethical

Advertisers must make decisions regarding the appropriateness of their ads

Legal & Social Responsibility Reviews

ethics in advertising and promotion1
Ethics in Advertising and Promotion

General Principle: It is very easy to offend some members of your target audience.

advertising untruthful deceptive misleading

Abuses involving sales promotions such as contests, sweepstakes, premium offers

Unethical and/or deceptive practices

involving mail order, telemarketing and other forms of direct marketing

Internet scams and abuses

Advertising: Untruthful, Deceptive & Misleading?

General mistrust of advertising and

among consumers. Many do not perceive ads as honest or believable

General mistrust of advertising

among consumers. Many consumers perceive ads to be phony and misleading.

Sales Promotion Abuses -- contests, sweepstakes, and premium offers

Unethical and/or deceptive direct marketing practices

advertising as offensive or in bad taste

Use of shock ads

Objections to advertising

of certain products

Use of sexual

appeals and/or

nudity

Advertising as Offensive or in Bad Taste

Objections to advertising

of certain products

Use of sexual

appeals and/or

nudity

miller promotes responsible drinking
Miller Promotes Responsible Drinking

*Click outside of the video screen to advance to the next slide

advertising and children

Children between ages 2-11 watch on average 22 hours of TV per week and may see 40,000 commercials per year

Approximately 80% of all advertising targeted to children falls in four

product categories:

Toys, cereals, candy & fast food restaurants

Advertising and Children

Children's TV Watching Behavior

perspectives on advertising to children

They lack the knowledge and

skills to critically evaluate

advertising claims

They cannot differentiate

between programs and commercials

Children must learn

through the socialization

process

Need to acquire skills needed

to function in the marketplace

Perspectives on Advertising to Children

Consumer Advocates Argue That Children Are Vulnerable to Advertising Because:

They lack the knowledge and

skills to critically evaluate

advertising claims

They cannot differentiate

between programs and commercials

While Marketers Argue That:

Children must learn

through the socialization

process

advertising and stereotyping

Portrayal of women to reflect their changing role in society

Gender

stereotyping

Portrayal of

women as

sex objects

Portrayal of

the elderly

Ethnic stereotyping/

representation of minorities

Advertising and Stereotyping

Portraying women in traditional housewife roles

Portrayal of

women as

sex objects and men as stupid

Gender

stereotyping

Criticisms of Advertising

With Regard to Stereotyping

Ethnic stereotyping/

representation of minorities

what is your opinion of this ad

Is this woman portrayed as a sex object?

Does this ad contain

cues that are sexually suggestive?

Does this ad present an image of sexual submissiveness?

What is your opinion of this ad?

Is this woman portrayed as a sex object?

Does this ad contain

cues that are sexually suggestive?

pro argument advertisers control the media

Advertising is the primary source of revenue for newspapers, magazines, and television and radio networks and stations

The media’s dependence on advertising for revenue makes them vulnerable to control by advertisers

  • Advertisers may exert control over the media by
  • biasing editorial content
  • forcing limited coverage of certain issues
  • influencing competitor advertising exposure
“Pro” Argument: Advertisers Control the Media

Advertising is the primary source of revenue for newspapers, magazines, and television and radio networks and stations

The media’s dependence on advertising for revenue makes them vulnerable to control by advertisers

con argument advertisers do not control the media

They must report the news fairly and accurately to retain public confidence

Advertisers need the media more than the media need any one advertiser

The media maintains procedural separation between news and the ad departments - “The Wall”

“Con” Argument: Advertisers Do Not Control the Media

Journalistic Integrity: The Media must report the news fairly and accurately to maintain public’s confidence

Advertisers need the media more than the media need any one advertiser

the economic value of advertising
The Economic Value of Advertising

*Click outside of the video screen to advance to the next slide

do you agree with leo burnett
Do You Agree With Leo Burnett?

“It must be said that without advertising we would have a far different nation, and one that would be much the poorer-not merely in material commodities, but in the life of the spirit.”

These excerpters are from a speech given by Leo Burnett on the American Association or Advertising Agencies’ 50th anniversary, April 20,1967